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2018 Minyanville Publishing and Multimedia, LLC. All Rights ReservedGreece &quot;Essentially Bankrupt&quot; Says Analyst With World's Most Unfortunate SurnameAndrew Balls head of European portfolio management for Pimco -- and brother of current English Parliamentarian/former Economic Secretary to the Treasury Ed Balls -- tells Bloomberg that Greece is &quot;essentially bankrupt&quot; and that &quot;it would be &ldquo;complacent if investors think this can be kicked down the road until 2013.&quot;Andrew Balls:Ed Balls:Cheez Balls:Bloomberg's Mark McCord writes:Even if the nation is granted fresh aid &ldquo;these issues are going to come up again in the next months &rdquo; Balls told Andrea Catherwood on Bloomberg Television today.&ldquo;The concern we have is that if you continue to kick the can down the road you raise ...http://www.minyanville.com/mvpremium/2011/06/21/greece-essentially-bankrupt-says-analyst/
Tue, 21 Jun 2011 17:26:00 EDTThere's Gold In Them Thar PIIGSAccording to a piece in Bloomberg's Economics Briefs for this morning Greece needs to come up with $10 billion in savings in 2011 to just qualify for the second round of its bailout. Meanwhile the government continues to come under pressure from a population increasingly angry about austerity measures. What to do?What about gold? As Bloomberg points out most measures of debt do not take into account assets such as gold reserves. The chart below shows the gold reserves of Ireland Greece Spain and Portugal which incidentally has one of the largest piles of gold in Europe. Of course the ...http://www.minyanville.com/mvpremium/2011/06/07/theres-gold-in-them-thar/
Tue, 7 Jun 2011 09:53:00 EDTLoan Sharks Rejoice - Greece 2-Year Notes at 20% !Investors in Greece investors celebrated today. They were awfully happy that their government was able to go to the open market and float 2-year notes at a yield of 20%. What a deal!!!!! OPA! The news was simple from Briefing.com: Greece conducted a successful 3-month Bill auction today selling a greater-than-expected 1.625 bln euro at a yield of 4.1% only 25 bps above the prior sale despite fears of a restructuring. With that Greece&rsquo;s ASE is leading European markets up 1.8%. OPA! The cost to insure the debt of Greece from default has risen to a record high. So either ...http://www.minyanville.com/mvpremium/2011/04/19/loan-sharks-rejoice-greece-2/
Tue, 19 Apr 2011 11:18:00 EDTSeven Things You Need to Know Right Now1. Greek Default May Create Domino Effect Derivatives are pricing in a nearly inevitable default by Greece according to Bloomberg. Credit default swaps on Greece have widened to a spread of 975 basis points suggesting a 57% chance of default according to CMA data. Today Portugal has widened to 569 basis points today signaling a nearly 40% chance of default. &quot;If Greece restructures it will be very difficult for Ireland and Portugal to impose a very strict austerity program and not restructure. It's a domino effect &quot; Marie-Anne Allier head of the euro-aggregate group at Amundi Asset Management told Bloomberg. ...http://www.minyanville.com/mvpremium/2011/04/04/seven-things-you-need-to-1/
Mon, 4 Apr 2011 10:07:00 EDTIrish Stress Test Results Require 3.5 Billion Euros Less Than ExpectedIrish regulators have told four banks to raise 24 billion euros. The amount is actually about 3.5 billion euros less than many expected. The Irish government pledged to provide the money if banks fail to raise it themselves from a 35 billion-euro fund set up under the country&rsquo;s international bailout in November which would effectively give the government a controlling stake.The government has already taken control of Anglo Irish Bank Corp. Allied Irish Banks Plc (AIB) EBS Building Society and Irish Nationwide Building Society. Bank of Ireland is fighting to remain outside majority State control. Irish Life and Permanent is ...http://www.minyanville.com/mvpremium/irish-stress-test-results-require/
Thu, 31 Mar 2011 11:40:00 EDTYou Loved the BRICS. You Feared the PIIGS. Now Prepare for the MIST.In 2001 Goldman Sachs analyst and foreign exchange expert Jim O&rsquo;Neill wrote a paper that redefined international finance. It was called &ldquo;The World Needs Better Economic BRICs &rdquo; and it didn&rsquo;t just change the way a lot of people thought about the economic future of the planet -- it helped shape that future. In a move that was as much sharp marketing as it was insightful analysis O&rsquo;Neill grouped together a handful of future global superstars (Brazil Russia India and China) that will by the middle of this century have outstripped the G7 economies. Now O&rsquo;Neill currently chairman of Goldman ...http://www.minyanville.com/mvpremium/you-loved-the-brics-you/
Tue, 1 Feb 2011 10:38:00 EDTGreece Default to Trigger Break of European Union by 2016, Bloomberg Poll ShowsA Bloomberg survey shows 48 percent believe one or more nations will drop out of the European Union within the next 2-5 years. Only 23 percent believe a nation will never drop out of the EU. Meanwhile 74 percent believe it is likely Greece will default on their sovereign debt and 53 percent believe Ireland will default. http://www.minyanville.com/mvpremium/greece-default-to-trigger-break/
Tue, 25 Jan 2011 18:36:00 EDTWhich Country Has the Worst Sovereign Debt-to-GDP Ratio?A quick at-a-glance map via Bloomberg shows global debt-to-GDP ratios. According to Bloomberg figures the U.S. debt-to-GDP ratio is 58.2 percent compared to 70 percent for the European Union as a whole while a PIIGS member like Greece checks in at 126.8 percent. As you may have guessed the highest debt-to-GDP ratio is in Japan 196.4 percent. Ironically the European Financial Stability Facility (EFSF) issued 5 billion euros of five-year 2.75 percent notes this morning more than 20 percent of which was purchased by the Japanese government. http://www.minyanville.com/mvpremium/which-country-has-the-worst/
Tue, 25 Jan 2011 11:46:00 EDTDoes the PIIGS Crisis Mean More Portuguese are Experimenting with Drugs?There was finally some better news out of debt-stressed Portugal this week.The country raised $1 billion in a Treasury bill sale with a lower interest rate and high demand easing the tension surround the nation&rsquo;s fiscal troubles. Still as the AP reports the outcome of the recent bill sale underscored how Portugal&rsquo;s financial plight has deepened over the past year &ndash; 12 months ago the interest rate on its 12-month bills was 0.93%. Moody&rsquo;s has warned it might slash its A1 rating on Portugal while S&amp;P is also thinking a downgrade could be warranted. A lot of forecasters continue to ...http://www.minyanville.com/mvpremium/does-the-piigs-crisis-mean/
Thu, 20 Jan 2011 11:32:00 EDTEuropeans Facing a Decade of Lost WagesInteresting commentary from Bloomberg Economist Joseph Brusuelas this morning paints a grim future ahead for European workers. The problem is this: whenever there is a banking budget or even a private debt crisis and the option of devaluing the currency is unavailable as is the case with the European Union deflation in labor costs and prices is the only option left. Brusuelas writes:&quot;Countries facing sovereign debt crises typically bring down their costs and jumpstart their competitiveness by devaluing their currencies. This option is not available to the countries tethered to the euro meaning that the members of the euro zone ...http://www.minyanville.com/mvpremium/europeans-facing-a-decade-of/
Wed, 12 Jan 2011 09:24:00 EDT